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Crude oil futures settled higher on Friday as prices edged up despite a surge in coronavirus cases raising uncertainty about pace of economic recovery and causing worries about outlook for energy demand.
However, recent data showing a sharp drop in U.S. crude stockpiles, and the OPEC and allies's move to press for better compliance with output cuts supported oil prices.
West Texas Intermediate Crude oil futures for October ended higher by $0.14 or about 0.3% at $41.11 a barrel, recovering from a low of $40.30 a barrel.
WTI crude oil futures added about 10% in the week.
Brent crude futures advanced $0.55 to $42.75 a barrel, recording a gain of almost 7.5% for the week.
Oil prices were lower earlier in the session, weighed down by an announcement from Libya about lifting of its blockade of oil output for one month.
Reports about U.S. oil producers readying rigs in the Gulf of Mexico weighed as well. However, with the possibility of a tropical depression hitting the northern part of Gulf of Mexico, oil facilities could face some disruptions over the next few days.
A report from Baker Hughes today said oil rig count in the U.S. dropped by one this week to 179, the lowest count since mid-August.
